PGA Tour Player putting personal charitable foundation logo on bags

[outfitter]

A recent trend I noticed is PGA tour players putting their personal foundations logo on their golf bags. It has me wondering if the player is charging their personal foundation for the marketing placement? Is this just another way to move money from the left pocket to the right pocket and still receive a tax benefit?

 

As I understand, a non-profit foundation is created to receive donations that are tax deductible and then allows the board or director of the foundation to distribute the funds to the groups of their choice. It's typical that a non-profit will have up to 40%-50% of expenses go towards operating costs- salary, office, marketing, events, etc. The remainder of donations received are then distributed to the cause of their choice.

 

Has anyone noticed or feel that this feels shifty?

[jimecherry]

1 hour ago, outfitter said:

A recent trend I noticed is PGA tour players putting their personal foundations logo on their golf bags. It has me wondering if the player is charging their personal foundation for the marketing placement? Is this just another way to move money from the left pocket to the right pocket and still receive a tax benefit?

 

As I understand, a non-profit foundation is created to receive donations that are tax deductible and then allows the board or director of the foundation to distribute the funds to the groups of their choice. It's typical that a non-profit will have up to 40%-50% of expenses go towards operating costs- salary, office, marketing, events, etc. The remainder of donations received are then distributed to the cause of their choice.

 

Has anyone noticed or feel that this feels shifty?

the cynic in me thinks its a way of expanding ones personal brand all the charities in question are branded very closely to the player.

[cdnglf]

[NV825]

Since the whole reason they have personal foundations is for tax purposes, I could absolutely see your reasoning as one of the ways they benefit from them.

[m d g]

These guys are very high-profile and have a lot of accountants and lawyers.

 

I am pretty sure they are operating within the law...

[Ferguson]

Welcome all ye tax experts, accounts and attorneys. 

 

 

 

[DFS PFD]

I'm sure they are doing it within the confines of the law, but it's 100% for personal gain. 

[Cheesehead42]

My guess is, the bag spot is worth $50K but they are "donating" that space to their charity. Therefore, they can deduct value of the spot on the bag as a charitable donation.

 

If their charity is helpful, I do not really care. Great accounting concept if you ask me. 

[bcjim]

990 for Day's foundation doesn't suggest anything underhanded. They put on a big pro am tournament/fundraiser and give the proceeds to several local charities. The event expenses aren't spelled out but Day is uncompensated as a director.

[st1800e]

Tinfoil…who wouldn’t do these “suspected” legal tax maneuvers if they had the opportunity? 

[MattyO1984]

Absolutely no issue with players looking out for their own pocket.

[Ferguson]

2 hours ago, MattyO1984 said:

Absolutely no issue with players looking out for their own pocket.

 

Yes sir.  Maximize exposure. 

 

[Fairways_and_Greens]

9 hours ago, st1800e said:

Tinfoil…who wouldn’t do these “suspected” legal tax maneuvers if they had the opportunity? 

I went to a wedding once that was packed with NFL players (groom was a lineman). I was pumped for the experience, but all I heard was “who is getting paid”, “who grabbed the bag”, and them all talking about their foundations’ loopholes. It was a major letdown. 
 

Joel D seems as solid as they come, so I’m not trying to put him in that bucket. But as soon as money gets big enough that everyone has a money manager, it gets weird. 

[MtlJeff]

17 hours ago, Cheesehead42 said:

My guess is, the bag spot is worth $50K but they are "donating" that space to their charity. Therefore, they can deduct value of the spot on the bag as a charitable donation.

 

If their charity is helpful, I do not really care. Great accounting concept if you ask me. 

 

I wonder if you could actually pay yourself as an individual from your own charity for the bag spot as an advertising expense. 

 

Paying yourself for the advertising with your own charity is next level stuff. 

[Bye]

They both seem like really good guys, I would like to think they are doing this for the right reasons. 

[st1800e]

14 minutes ago, Bye said:

I would like to think they are doing this for the right reasons. 

Yes, and following the appropriate tax rules.  

[third-times-a-charm]

29 minutes ago, MtlJeff said:

 

I wonder if you could actually pay yourself as an individual from your own charity for the bag spot as an advertising expense. 

 

Paying yourself for the advertising with your own charity is next level stuff. 

I see you dont know many politicians et al in the upper echelon (or arent a CPA). Pretty common stuff to be paying family members and yourself out of 501's and assorted 'campaigns' and doing this like mentioned in this thread to get around taxes and funnel money back to your bank account or personal funds.

[bladehunter]

Don’t hate the player. Hate the game. Don’t like the game ?  Change the rules. But. Be prepared to pay yourself. 🤣.  This ain’t exactly a poverty board.  

[MtlJeff]

41 minutes ago, third-times-a-charm said:

I see you dont know many politicians et al in the upper echelon (or arent a CPA). Pretty common stuff to be paying family members and yourself out of 501's and assorted 'campaigns' and doing this like mentioned in this thread to get around taxes and funnel money back to your bank account or personal funds.

 

yes I'm very proud to say i'm not friends with any high level Canadian politicians

[Ferguson]

Love reading threads like this.  It's amazing how many people have inside connections.  I remember that guy who stated he was related to someone on the Edmund Fitzgerald.  

 

 

 

 

[dropkicked]

Obviously..

[TroyB123]

21 hours ago, outfitter said:

A recent trend I noticed is PGA tour players putting their personal foundations logo on their golf bags. It has me wondering if the player is charging their personal foundation for the marketing placement? Is this just another way to move money from the left pocket to the right pocket and still receive a tax benefit?

 

As I understand, a non-profit foundation is created to receive donations that are tax deductible and then allows the board or director of the foundation to distribute the funds to the groups of their choice. It's typical that a non-profit will have up to 40%-50% of expenses go towards operating costs- salary, office, marketing, events, etc. The remainder of donations received are then distributed to the cause of their choice.

 

Has anyone noticed or feel that this feels shifty?

Dahmen seems like a decent guy, so I poked around a bit into this.  His foundation is not its own 501(3)(c) but funnels directly into the Arizona Community Foundation.   It seems to be a well regarded charity with low overhead.   https://www.charitynavigator.org/ein/860348306

 

It doesn't seem very likely he is personally enriching himself or his friends through this.

[m d g]

2 hours ago, Fairways_and_Greens said:

I went to a wedding once that was packed with NFL players (groom was a lineman). I was pumped for the experience, but all I heard was “who is getting paid”, “who grabbed the bag”, and them all talking about their foundations’ loopholes. It was a major letdown. 

 

A friend of mine is an old-school NFL HOF player you would know. Pre-Covid he held a charity golf tournament every year and never made a dime himself. Now he plays with his grandkids and delivers Meals on Wheels two or three times a week. Very nice guy.

[bladehunter]

1 hour ago, MtlJeff said:

 

yes I'm very proud to say i'm not friends with any high level Canadian politicians

That’s good. I’d hate to think less of you Jeffrey. 🤨.   
 

I kid I kid 🤣

[grm24]

23 hours ago, outfitter said:

Has anyone noticed or feel that this feels shifty?

No. And to be totally honest it feels like another example of faux indignation.

[TiScape]

1 hour ago, MtlJeff said:

 

yes I'm very proud to say i'm not friends with any high level Canadian politicians

I use to party with this guy on random weekdays during the lockdown. More of an acquaintance than a friend. 

[TiScape]

1 hour ago, Ferguson said:

Love reading threads like this.  It's amazing how many people have inside connections.  I remember that guy who stated he was related to someone on the Edmund Fitzgerald.  

 

 

 

 

Great song 

 

[Ferguson]

8 minutes ago, TiScape said:

Great song 

 

 

Agreed.  A haunting tale.

 

 

 

Early Morning Rain is another great tune. 

 

 

[bladehunter]

12 minutes ago, TiScape said:

I use to party with this guy on random weekdays during the lockdown. More of an acquaintance than a friend. 

Thats a dude ? 🤣

[TiScape]

Just now, bladehunter said:

Thats a dude ? 🤣

I didn’t officially confirm, but that’s what they say 🤷🏼‍♂️